How to Open a Company in Morocco as a Chinese Entrepreneur

Setting up a company in Morocco as a Chinese investor is not only possible, but highly encouraged by Moroccan authorities. Thanks to the strong diplomatic and economic ties between China and Morocco, the process of establishing a business has become increasingly streamlined, especially in strategic sectors like infrastructure, renewable energy, digital development, and agriculture.

Why Morocco? A Strategic Gateway for Chinese Investment

Morocco is considered one of Africa’s most business-friendly nations. With:

• A stable political and economic climate
• Belt and Road cooperation with China
• A large network of free trade agreements (with the EU, USA, and 50+ countries)
• Preferential tax regimes in special economic zones
• Excellent logistics infrastructure, including the world-class Tanger Med Port

Chinese companies are increasingly turning their attention to Morocco as a launchpad into the African and European markets.

Main Legal Forms for Foreign Businesses

Chinese entrepreneurs can choose from several business structures in Morocco. The most common forms include:

1. SARL “Limited Liability Company” or (Société à Responsabilité Limitée)

Ideal for small and medium enterprises.

• Can be established by a single shareholder
• No minimum capital required (recommended: 100,000 MAD)
• Directors don’t need to reside in Morocco
• Must appoint an auditor if turnover exceeds 50 million MAD

2. SA “The public limited company“ or (Société Anonyme)

Best for larger investments and joint ventures.

• Requires at least 5 shareholders
• Minimum capital: 300,000 MAD
• Suitable for equity transfer and public listings

3. Branch Office or Liaison Office

• Branch can conduct business but is legally dependent on the parent company
• Liaison office is non-commercial and limited to market research or promotion

Step-by-Step Guide to Register a Company in Morocco as a Chinese

Step 1: Decide the Legal Form and Prepare Documentation

Choose between SARL, SA, or branch. You’ll need:

• Shareholder and director ID documents
• Articles of association (in French)
• Proof of registered address

Step 2: Name Verification

Apply for a Negative Certificate from OMPIC to confirm your business name is available. It is valid for 90 days.

Step 3: Lease Business Address

A physical office or virtual address (domiciliation) in Morocco is required. Many foreign businesses lease offices in business centers in Casablanca or Tangier.

Step 4: Open a Bank Account

Deposit initial capital and obtain a deposit certificate.

Step 5: Company Registration

Submit your registration to the Commercial Registry. Once approved, you’ll receive your Company Registration Certificate.

Step 6: Tax Registration

Register your company with the local tax bureau. You’ll receive a tax ID and must understand your tax obligations:

• Corporate tax (standard: 30%)
• VAT (standard: 20%)
• Withholding tax for dividends and royalties

Step 7: Open a Formal Bank Account & Notify the Foreign Investment Office

After registration, convert your preparatory account into a formal business account.

Step 8: Hire Accountant & Start Operations

Work with a certified accountant to handle payroll, VAT declarations, and compliance.

Case Study: Chinese Company Handling Equity Transfer in Morocco

A Chinese client recently engaged in the equity acquisition of a Moroccan SA company. Here are key learnings from the process:

Key Questions from the Client

Is equity transfer required to be registered in Morocco?

Yes. Even if the shareholders approve the transfer through a resolution, the equity transfer must still be registered with the Moroccan Commercial Registry and tax authorities.

What documents are needed by both sides?

Both parties must prepare identity documents, the share transfer agreement, notarized signatures, and company documents such as articles of association and board/shareholder resolutions.

Can documents be notarized in China?

Yes. Documents can be notarized and legalized in China by following the official authentication procedure through a notary.

How many copies and what language should the agreements be in?

At least three original copies of the equity transfer agreement should be prepared, all in French, as it is the official legal language used in Moroccan registration procedures.

What are the tax implications of equity transfer?

Equity transfers in Morocco may be subject to registration fees or capital gains tax. The specific rate depends on the nature of the transfer and the legal status of the parties involved. Consulting with a tax expert is essential.

What procedures must be followed for resigning and appointing directors?

The resignation of the outgoing director and the appointment of the new one must be recorded in shareholders’ resolutions, registered with the Commercial Registry, and published in a legal announcement journal.

Required Documents and Steps

• Share Transfer Agreement (in French)
• Board and shareholder resolutions approving the transfer
• Notarized equity transfer agreement (signed in country of residence)
• Tax bureau registration of equity change
• General shareholders meeting minutes confirming the changes
• Business registration update and public announcement in newspapers

This shows that a meticulous, document-based process is needed and should be handled by an experienced international legal team.

Work and Residence Permits for Foreign Investors

Before a Chinese entrepreneur can work or live in Morocco:

• The company must obtain a labor authorization from ANAPEC
• Apply for a work visa (Contrat de travail d’étranger)
• Afterward, apply for a residence permit from the local police station

Work permits are generally valid 1 to 3 years and renewable. Without them, foreigners cannot open local bank accounts or buy property.

Popular Sectors for Chinese Investment in Morocco

According to Moroccan diplomats, seven sectors are especially favorable for Chinese companies:

1. Infrastructure (Tanger Med Port, highways)
2. Agriculture (export of high-value produce)
3. Industry (automotive, manufacturing)
4. Renewable energy (solar, wind)
5. Tourism (hotels, entertainment)
6. Aviation (aircraft engine components)
7. Digital development (Digital Morocco 2030 strategy)

Trade Ties Between China and Morocco

• Bilateral trade up by 32% year-over-year
• Morocco is Africa’s #1 importer of Chinese green tea
• Top imports: mechanical/electrical goods, textiles, furniture, toys
• Morocco is seen as a logistics and export hub for the EU, US, and Africa

Exporting from Morocco to USA offers low tax benefits. Recent updates changed the previously free trade terms to a 10% tax rate. Morocco-USA trade relations remain strong. When exporting, products must display ‘Made in Morocco’ labels, not ‘Made in China.

Conclusion

Opening a company in Morocco as a Chinese investor is a strategic, well-supported move that taps into a high-growth, welcoming market. Whether you’re registering a new SARL or acquiring an existing SA, understanding legal steps, tax compliance, and visa regulations is critical.

By leveraging Morocco’s location, trade ties, and legal infrastructure, Chinese businesses can establish a strong foundation for long-term growth across Africa and Europe.

If you need step-by-step support with equity transfer, company setup, or visa processing in Morocco, our local team is ready to help.